School board cited for missing performance bond on $272,000 paving project

The Coffee County Audit Committee reviewed an audit finding that a paving project at the county high school should have been covered by a performance bond because it involved new pavement behind the CTE building. The school board representative said the district bid the project, and when the audit finding was issued staff reviewed past paving projects and found the position handling contracts had followed prior practice rather than a written policy.

The school board representative said the district held final payment to the contractor until the work was complete and satisfactory, and said, "we did not give payment to the contractor until we knew the work was complete and that it was done of quality." The representative added that the district will require a performance bond when projects meet the applicable construction threshold going forward and has created a checklist for any purchase over $100,000 and provided staff training on procedures.

Committee members pressed for clarity on when paving counts as construction rather than maintenance; the group noted that new pavement or a new parking area is treated differently than routine maintenance. A committee member identified the project cost as $272,000.

Committee members characterized the corrective steps — instituting a checklist and training staff — as appropriate. The committee did not record any further formal sanctions; members described the action as a corrective finding and said the district had already adopted procedures to prevent a repeat.

The committee’s discussion left the corrective plan in place and did not propose additional policy changes beyond the district’s new purchase-order checklist and documentation requirements.